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Reaching climate neutrality in the EU by 2050 requires ambitious emissions reduction. This means an unprecedented transformation for the automotive industry and its supply chain, and one that will have a major impact not only on employment, but also on consumer choice, the affordability of individual mobility, and EU competitiveness.
CLEPA fully supports the objectives of the Green Deal. In fact, automotive suppliers design and manufacture all of the components and systems that are needed to achieve the ambitious goals for road transport. Our members invest heavily in new technologies and create the new product portfolios needed to achieve smart, safe, and sustainable mobility.
However, the face of the industry will change as a result of the transition to electric powertrains, including the restructuring of production sites and the workforce.
The automotive manufacturing sector is directly responsible for more than 8.6% of EU employment in manufacturing. In 13 EU Member States the sector represents more than 5% of the overall manufacturing employment, highlighting the industry’s critical role across Europe. More than 60% of these workers are employed by automotive suppliers (1.7 million).
Automotive suppliers alone currently employ about 600,000 people, whose work depends on the internal combustion engine. The livelihoods that depend on those jobs need to be taken into consideration. The production of battery electric vehicles will create new employment opportunities, but overall is less labour intensive. It is therefore critical that we assess what different policy approaches would mean for employment and the realisation of climate targets
In a first of its kind study, PwC Strategy&, assesses the impact of three different market scenarios: a mixed technology approach, the current EV-only approach proposed in the Fit for 55 package, and a radical EV ramp-up approach, on employment and value-add across the EU and individual members states along the automotive supply chain to 2040.
With rapidly decreasing purchase prices of electric vehicles, charging costs are becoming ever more important for the diffusion of electric vehicles as required to decarbonize transport. However, the costs of charging electric vehicles in Europe are largely unknown. Here we develop a systematic classification of charging options, gather extensive market data on equipment cost, and employ a levelized cost approach to model charging costs in 30 European countries (European Union 27, Great Britain, Norway, Switzerland) and for 13 different charging options for private passenger transport. The findings demonstrate a large variance of charging costs across countries and charging options, suggesting different policy options to reduce charging costs. A specific analysis on the impacts and relevance of publicly accessible charging station utilization is performed. The results reveal charging costs at these stations to be competitive with fuel costs at typical utilization rates exhibited already today.